..The In“sensitive index”?

For the last one month, like every other harrowed stock market investor waiting to “re-enter” the market, I have been waiting too – impatiently.

We were invested in the share market for long term but the sudden surge in the market immediately after the Election Result (The sensex witnessed its biggest rise in long time of over 2100 points, when it hit its upper circuit levels and trading had to be halted.) this year saw us liquidate our stocks for a handsome profit. We thought we were intelligent and made the most out of that moment, knowing that we would re-enter once the “Election Result Frenzy” died down and the markets go back to its earlier lows. The sensex however has mocked our intelligence. It has refused to show any kind of slowing down since then!

It has now been more than a month since the surge and everyday I study the market in hope of it getting “corrected”! Conversely, the number of points its shedding is way too less than its surge each day! Like any other average investor, I understand that the stock market’s rise during the last few weeks is no evidence of an economic recovery in the country but questions such as what must be preventing this bubble from exploding?, is the market going over-board in its feel-good euphoria?, is it making the stocks values go higher than their real worth?, are making me curious of its behaviour.

The market analysts and business writers have not been very insightful either. When we have a section of them predicting an imminent correction in the stock market, another section has proudly declared that there is no stopping back the sensex now.. its on its way to the 20K mark! I wish I was on the other side of the market now. I would have been preparing myself to laugh all the way to the bank if I was already invested in this. The waiting-for-the market-to-fall side is not a very exciting side to be in, especially when the wait seems to be “indefinite”!

As I write this, the sensex has gone up by 162 points from its previous close last Friday to hit 14667!...